Some think China should be cautious and not disrupt the current system as China's growing prosperity has been built on trade and interaction with America and the outside world.

BBC: Obama to China: 'Act like a grown-up'

It is dubbed the "Outline for National Tourism and Leisure (2013-2020)" and is a roadmap for restructuring the current paid leave system across China with an aim to encourage governmental agencies, social organizations, enterprises and public institutions to promote the use of leave days.

CNN: Chinese travelers the world's biggest spenders

Jonathan Anderson, a China specialist at UBS, calculates that under the current pension system the government could face unfunded liabilities of up to 6% of GDP annually a few decades hence.

ECONOMIST: Getting old before getting rich

China's economy is protected by its current-account surplus and vast reserves, but its banking system would be hurt by an abrupt withdrawal.

ECONOMIST: Capital inflows to China